Friday, 4 May 2018

Trump Is Said to Know of Stormy Daniels Payment Months Before He Denied It

Trump Is Said to Know of Stormy Daniels Payment Months Before He Denied
It
[ad_1]

WASHINGTON — President Trump knew about a six-figure payment that Michael D. Cohen, his personal lawyer, made to a pornographic film actress several months before he denied any knowledge of it to reporters aboard Air Force One in April, according to two people familiar with the arrangement.

How much Mr. Trump knew about the payment to Stephanie Clifford, the actress, and who else was aware of it have been at the center of a swirling controversy for the past 48 hours touched off by a television interview with Rudolph W. Giuliani, a new addition to the president’s legal team. The interview was the first time a lawyer for the president had acknowledged that Mr. Trump had reimbursed Mr. Cohen for the payments to Ms. Clifford, whose stage name is Stormy Daniels.

It was not immediately clear when Mr. Trump learned of the payment, which Mr. Cohen made in October 2016, at a time when news media outlets were poised to pay her for her story about an alleged affair with Mr. Trump in 2006. But three people close to the matter said that Mr. Trump knew that Mr. Cohen had succeeded in keeping the allegations from becoming public at the time the president denied it.

Ms. Clifford signed a nondisclosure agreement, and accepted the payment just days before Mr. Trump won the 2016 presidential election. Mr. Trump has denied he had an affair with Ms. Clifford and insisted that the nondisclosure agreement was created to prevent any embarrassment to his family.

Mr. Giuliani said this week that the reimbursement to Mr. Cohen totaled $460,000 or $470,000, leaving it unclear what else the payments were for beyond the $130,000 that went to Ms. Clifford. One of the people familiar with the arrangement said that it was a $420,000 total over 12 months.

Allen Weisselberg, the chief financial officer of the Trump Organization, has known since last year the details of how Mr. Cohen was being reimbursed, which was mainly through payments of $35,000 per month from the trust that contains the president’s personal fortune, according to two people with knowledge of the arrangement.

One person close to the Trump Organization said people with the company were aware that Mr. Cohen was still doing “legal work” for the president in 2017, but declined to say more about what Mr. Weisselberg knew. Another person familiar with the situation said that Mr. Weisselberg did not know that Mr. Cohen had paid Ms. Clifford when the retainer payments went through.

If Mr. Weisselberg was involved in directing the use of the funds to silence Ms. Clifford, it could draw Mr. Trump’s company deeper into the federal investigation of Mr. Cohen’s activities, increasing the president’s legal exposure in a wide-ranging case involving the lawyer often described as the president’s “fixer” in New York City.

In interviews on Wednesday and Thursday, Mr. Giuliani insisted that the president had reimbursed Mr. Cohen for the $130,000 hush payment — and then paid him another $330,000, if not more — which was in direct conflict with the longstanding assertion by Mr. Trump and the White House that he did not know about the hush money or where it came from.

In an interview with The New York Times on Friday, Mr. Giuliani sought to clarify his statements by saying that he did not know whether Mr. Trump had known that some of the payments to Mr. Cohen had gone to Ms. Clifford. “It’s not something I’m aware of, nor is it relevant to what I’m doing, the legal part,” Mr. Giuliani said.

A lawyer for the Trump Organization declined to comment, and a spokeswoman for the organization did not respond to an email about Mr. Weisselberg.

The president has said that he would view any investigation into his finances or those of his family as “a violation,” though he was referring to the investigation into Russia by the special counsel, Robert S. Mueller III; the investigation into Mr. Cohen is being run by federal prosecutors in the Southern District of New York.

The payment to Ms. Clifford is a part of that investigation. The circumstances surrounding it had become all the murkier this week after Mr. Giuliani gave an explanation of how the funds to Ms. Clifford were accounted for that contradicted all those that came before it.

After initially appearing to back Mr. Giuliani’s assertions in a series of Twitter messages on Thursday, Mr. Trump reversed course on Friday, after a series of headlines suggesting that the president had lied about knowing of the hush payment. In remarks to reporters on Friday, Mr. Trump criticized Mr. Giuliani and said he would eventually “get his facts straight.”

“Virtually everything said has been said incorrectly, and it’s been said wrong, or it’s been covered wrong by the press,” Mr. Trump told reporters, though he excused Mr. Giuliani by explaining he had “just started a day ago.”

In a written statement later in the day, Mr. Giuliani said that he had not been “describing my understanding of the president’s knowledge.” And he reversed a previous suggestion that the payment to Ms. Clifford was motivated by the election. Mr. Giuliani said on Friday that the payment was personal in nature and “would have been done in any event, whether he was a candidate or not.”

While some White House officials had insisted that Mr. Trump was pleased with Mr. Giuliani’s performance on Fox News in an interview with Sean Hannity on Wednesday night, two people close to the president painted a different picture. They said that Mr. Trump was displeased with how Mr. Giuliani, a former New York mayor, conducted himself, and that he was also unhappy with Mr. Hannity, a commentator whose advice the president often seeks, in terms of the language he used to describe the payments to Ms. Clifford.

The nature of the payments is significant because of campaign finance laws that regulate who may contribute to candidates and how much they can give.

If Mr. Cohen or others paid to silence Ms. Clifford primarily out of fear that a public airing of her story would have harmed Mr. Trump’s election prospects — rather than to keep it from his family for personal reasons — then the payment would most likely be viewed as an illegal campaign expenditure. Mr. Giuliani told The Times on Friday that the issue was “primarily” about keeping Mr. Trump’s wife, Melania, from being embarrassed by the claim, which Mr. Trump has maintained was false.

But if investigators determine that the hush payment was in effect a campaign expenditure, then how the funds were distributed could take on added legal significance. Mr. Cohen had been careful to say that neither the campaign nor the Trump Organization was involved in the deal or any effort to reimburse him.

Under campaign finance law, Mr. Trump would have been within his rights to pay Ms. Clifford himself as a way to protect his presidential prospects — though he would have had to have formally made note of it in his public campaign filings, which had no accounting of the payment. If he directed Mr. Cohen to pay it on his behalf, then that could qualify as an illegal, coordinated campaign expenditure, even if Mr. Trump later paid him back.

Any involvement by the Trump Organization would further complicate the legal picture, given that American election law is strictest of all when it comes to corporate involvement with political campaigns. Businesses are not allowed to donate directly to campaigns or to coordinate with them.

Ms. Clifford’s lawyer, Michael J. Avenatti, has been arguing for months that Mr. Trump’s company was more involved in the arrangement than Mr. Cohen had been letting on.

After filing a lawsuit on Ms. Clifford’s behalf seeking to get out of the deal — which he has called invalid — Mr. Avenatti showed that Mr. Cohen had used his Trump Organization email at one point in arranging the payment. He also pointed to a secret document in California that a Trump Organization lawyer filed to force Ms. Clifford into arbitration this year.

At the time, the Trump Organization said that the lawyer, Jill A. Martin, who works in California, had acted in a personal capacity to help Mr. Cohen, who needed assistance with the initial arbitration filing from someone licensed in the state. The Trump Organization had said that “the company has had no involvement in the matter.”

In an interview, Mr. Avenatti said that any indication that still more executives at the Trump Organization knew about the effort to reimburse Mr. Cohen for the payment to Ms. Clifford could lead to further investigation of the Trump family business.

“There’s no question it opens up another avenue of inquiry into the depths of the involvement of the Trump Organization,” he said.



[ad_2]

Source link

Trump Undercuts Giuliani About Payments to Stormy Daniels

Trump Undercuts Giuliani About Payments to Stormy Daniels
[ad_1]

WASHINGTON — President Trump undercut his attorney, Rudolph W. Giuliani, on Friday, and said the former New York mayor will eventually get the facts right regarding a payment to a pornographic actress who said she had an affair with Mr. Trump.

Mr. Giuliani, who joined Mr. Trump’s legal team last month, “started a day ago,” Mr. Trump said, speaking to reporters on Friday as he left Washington to attend a National Rifle Association convention in Dallas.

“He’s a great guy,” Mr. Trump said. “He’ll get his facts straight.”

It was the first time the president addressed the inconsistent narrative about the payment made by his personal lawyer, Michael D. Cohen, to the actress, Stephanie Clifford, who goes by the stage name Stormy Daniels.

Mr. Giuliani kicked off the confusion with an interview on Fox News on Wednesday, surprising even some of Mr. Trump’s other attorneys.

In a series of Twitter posts the following morning, the president backed up what Mr. Giuliani said. But, on Friday, Mr. Trump said that everything said about the transaction “has been said incorrectly.”

“It’s actually very simple,” the president said, without elaboration.



[ad_2]

Source link

Thursday, 3 May 2018

The Legal Issues Raised by the Stormy Daniels Payment, Explained

The Legal Issues Raised by the Stormy Daniels Payment, Explained
[ad_1]


In the end, a jury acquitted Mr. Edwards of one charge while deadlocking on the other five, and prosecutors opted not to seek a new trial. Richard L. Hasen, a professor of law at the University of California, Irvine, said that after the Edwards mistrial, federal prosecutors will be reluctant to go forward with similar cases unless they have “documentary proof, a smoking gun, that a payment was in fact election-related.”

What is the argument that the payment was not campaign-related?

In an interview on Thursday on the Fox News program “Fox & Friends,” Mr. Giuliani insisted that the payment was not a campaign contribution. He said Mr. Cohen was trying to help Mr. Trump’s family “to save their marriage — not their marriage so much as their reputation.” But then, muddying that message, Mr. Giuliani said, “Imagine if that came out on Oct. 15, 2016, in the middle of the last debate with Hillary Clinton.” Separately, in an interview with The New York Times, Mr. Giuliani acknowledged that “it could overlap as a campaign problem,” but reiterated that Mr. Trump was not thinking of the payment as a campaign expense.

It could work in Mr. Trump’s favor that he and his lawyers had a long history of using legal avenues to try to fight off damaging claims. That history could form the basis of an argument that Mr. Cohen’s payment to Ms. Clifford — and Mr. Trump’s reimbursement of it — would have happened whether or not he was running for president.

“If this was a first-time candidate without a public reputation, then it would be harder to argue that it wasn’t an expenditure to influence an election,” said Charles Spies, a Republican election lawyer who worked in support of one of Mr. Trump’s rivals, the former Florida governor Jeb Bush, in the 2016 Republican primary. “But Donald Trump has a long record of aggressively defending his reputation from attacks.”



That track record could prove less compelling if the authorities obtain evidence that Mr. Cohen privately discussed the payment in the context of Mr. Trump’s campaign. Last month, federal law enforcement officials in New York raided Mr. Cohen’s office and hotel room, carting away numerous documents and electronic devices that are now the subject of a fight over attorney-client privilege. One of the things they are apparently investigating is the payment to Ms. Clifford.

If the payment was a loan, is Cohen out of trouble?

Not if the loan was intended to influence the election. Campaigns routinely take out large loans from banks when they’re running short of cash ahead of elections. But federal election laws require that those loans come from banks as routine business transactions. Personal loans count as contributions that are still legally capped at the individual contribution limit — even if they are later repaid in full, according to the Federal Election Commission website.

When would this have had to be reported, and by whom?

If the payment were to be deemed campaign-related, the Trump campaign should have disclosed it in its periodic filings with the F.E.C., as soon as Mr. Trump or his campaign learned that Mr. Cohen had made it. If Mr. Trump or his campaign only discovered the payment after the fact, they should have amended their previous filings to reflect the expenditure, and any reimbursements to Mr. Cohen. The Wall Street Journal first reported the $130,000 payment to Ms. Clifford in January, and Mr. Trump has not moved to amend his disclosures.

In an interview with The Times, Mr. Giuliani was vague about key questions concerning what Mr. Trump knew and when he knew it, saying that Mr. Trump “did know that there was a form of reimbursements” to Mr. Cohen over the course of 2017, but maintaining that the president did not know what it was for specifically. Mr. Giuliani also said that some executives at the Trump Organization “knew about the fact that Cohen believes money was owed to him — I don’t know when that came up.”


Might a loan raise non-election-law issues?

Yes. As a government employee, Mr. Trump is also required to report any liabilities in excess of $10,000 on a financial disclosure form filed with the Office of Government Ethics. His 2017 form — which he signed in June, certifying it was “true, complete and correct” — does not list any outstanding loan from Mr. Cohen, campaign-related or otherwise. When he spoke with The Times on Thursday, Mr. Giuliani did not answer why the money was not listed on the president’s financial disclosure form.

What could the penalties be?

When campaign finance violations are punished, they typically result in fines by the Federal Election Commission that are pegged to the size of the unlawful contribution or expenditure. The Justice Department can also prosecute willful violations of election laws, or willful false statements on the federal personal financial disclosure forms, which are felonies and can result in up to five years in prison.

There is little chance that the department would file charges against Mr. Trump, regardless of what the evidence shows, because its Office of Legal Counsel has opined that the Constitution makes sitting presidents immune from prosecution.

But Mr. Cohen, after the raid last month, is under intense legal pressure.


Continue reading the main story


[ad_2]

Source link

Sarah Sanders waves the white flag on Stormy Daniels – ThinkProgress

[ad_1]


On April 5, President Trump specifically said he had no knowledge of the $130,000 payment Michael Cohen made to Stormy Daniels, and referred all questions back to Cohen. Last night, Rudy Giuliani admitted that Trump had reimbursed Cohen for the $130,000 in a series of payments that completed in 2017.


During Thursday’s White House press briefing, Sarah Sanders was presented with a  very difficult task are explaining how these two things are consistent.


She barely tried.


Sanders initially said that “this was information the president didn’t know at the time but eventually learned.”



But how could Trump not know about the $130,000 payment by Cohen if he had already reimbursed Cohen?


That’s precisely what Sanders was asked next by ABC’s Jonathan Karl. “How could he not have known, he was paying him back?”


“I’m not going to get into those details,” Sanders replied.



This isn’t an answer but an acknowledgement that there is no answer.


CNN’s Jim Acosta gave it another shot. “How can you only be aware of something 10 days to two weeks ago but at the same time be in the process of paying monthly retainers that apparently covered this reimbursement?”


“I can’t get into the details of the ongoing litigation. I would refer you to the President’s outside counsel,” Sanders replied.



Another issue, raised by Acosta and others, was Sanders own statement on March 7, in which she told reporters that she had spoken to the president and he had no knowledge of the payments made to Daniels.


Acosta asked if she was “lying” or if she was “in the dark.”


Sanders said she gave “the best information I had.”


She later acknowledged that the first time she learned that Trump had reimbursed Cohen for the Stormy Daniels payment was when she watched the Rudy Giuliani interview on Hannity last night.












[ad_2]

Source link

What Giuliani Said About Cohen’s Payment to Stormy Daniels

What Giuliani Said About Cohen’s Payment to Stormy Daniels
[ad_1]


HANNITY: They funneled it through a law firm.

GIULIANI: They funneled through a law firm, and the president repaid it.

HANNITY: Oh. I didn’t know that. He did.

GIULIANI: Yep.

HANNITY: There’s no campaign finance law.

GIULIANI: Zero. Just like every — Sean, Sean —

HANNITY: So this decision was made by —

GIULIANI: Everybody was nervous about this from the very beginning. I wasn’t. I knew how much money Donald Trump put into that campaign, and I said, “$130,000? He could do a couple of checks for $130,000.”

When I heard of Cohen’s retainer for $130,000, he was doing no work for the president. I said, “Well, that’s how he’s repaying it, with a little profit and a little margin for paying taxes for Michael.



HANNITY: But you know the president didn’t know about this?

GIULIANI: Ah, he didn’t know about the specifics of it, as far as I know. But he did know about the general arrangement, that Michael would take care of things like this. Like, I take care of this with my clients. I don’t burden them with every single thing that comes along. These are busy people.

_________

HANNITY: As we continue with President Trump’s attorney, former New York City mayor, Rudy Giuliani, I want to clarify something. Because I was asking you about Perkins Coie and you said that the money was not campaign money — “I’m giving you a fact now that you don’t know, it’s not campaign money, no campaign violation.” And I said, “Because they funneled through a law firm.”

I think we were talking about two different things there. I want to make sure.

GIULIANI: I was talking about the $130,000 payment —

HANNITY: Right.

GIULIANI: The settlement payment, which is a very regular thing for lawyers to do. The question there was, the only possible violation there would be: Was it a campaign finance violation? Which usually results in a fine, by the way, not this big stormtroopers coming in and breaking down his apartment and breaking down his office.


That was money that was paid by his lawyer, the way I would do, out of his law firm funds or whatever funds — it doesn’t matter — and the president reimbursed that over the period of several months.

HANNITY: He had said, I distinctly remember, that he did it on his own —

GIULIANI: He did?

HANNITY: Without asking —

GIULIANI: I don’t know, I haven’t investigated that. No reason to dispute that, no reason to dispute that recollection. I like Michael a lot, you like Michael a lot —

HANNITY: I’ve known him a long time.

GIULIANI: I feel very bad he’s been victimized like this. The president feels even worse. The fact is, just trust me, they’re going to come up with no violations there. Payments are perfectly legal.

Continue reading the main story


[ad_2]

Source link

Giuliani Says Trump Repaid Cohen for Stormy Daniels Hush Money

Giuliani Says Trump Repaid Cohen for Stormy Daniels Hush Money
[ad_1]


Mr. Giuliani said that he had spoken with the president before and after his interview on Fox News, and that Mr. Trump and other lawyers on the team were aware of what he would say. On Thursday, Mr. Trump said that he paid a monthly retainer to Mr. Cohen, suggesting, as Mr. Giuliani had, that the payment to Ms. Clifford was not a campaign contribution.

The president has repeatedly denied that he had an affair with Ms. Clifford, who has described having intimate contact with Mr. Trump before he became president.

Mr. Giuliani’s comments are also in direct contrast to what Mr. Cohen has been saying for months — that he used his own money to pay Ms. Clifford, whose stage name is Stormy Daniels. Mr. Cohen is under investigation by the F.B.I., which raided his home and office last month and seized documents that included information about the payment to Ms. Clifford.


Video




Trump Speaks About Stormy Daniels Scandal





In April, President Trump denied knowledge of a $130,000 payment to Stephanie Clifford, a pornographic film actress known as Stormy Daniels. It was the first time he commented publicly on the scandal.



By ASSOCIATED PRESS.


Photo by Doug Mills/The New York Times.

Watch in Times Video »






“They funneled through a law firm, and the president repaid it,” Mr. Giuliani told Sean Hannity, the Fox News host. After Mr. Hannity asked for clarification, Mr. Giuliani insisted: “That was money that was paid by his lawyer. The president reimbursed that over the period of several months.”

The source of the $130,000 payment is at the center of several legal disputes involving Mr. Trump, Mr. Cohen and Ms. Clifford. That includes whether the payment to Ms. Clifford was in effect a contribution to Mr. Trump’s campaign aimed at preventing a negative article from surfacing just before Election Day.

Mr. Giuliani said that Mr. Cohen had “settled several problems for” Mr. Trump, and that the payment related to them. Another person familiar with the payment confirmed that that was the mechanism used to repay Mr. Cohen.

Mr. Giuliani said that he was “not clear that” Mr. Trump was aware of the payment to Ms. Clifford at the time it was made, and he said that his understanding was that the president did not learn about the payment to her until recently.


“I don’t think he did” know “until now,” Mr. Giuliani said.

The comments on Fox sent a jolt through Washington and New York, including the legal teams working on behalf of the president, Mr. Cohen and Ms. Clifford, who has sued Mr. Cohen in an attempt to be released from the nondisclosure agreement that accompanied the $130,000 payment in October 2016.


Photo






Ms. Clifford, whose stage name is Stormy Daniels, outside federal court last month in New York. Mr. Giuliani’s statement appears to contradict the president, who has at times said that he was unaware of the payment to Ms. Clifford.

Credit
Jeenah Moon for The New York Times



Michael Avenatti, Ms. Clifford’s lawyer, said Wednesday night on Twitter that Mr. Giuliani’s comments amounted to an admission that the president had lied to the American people about whether he was aware of the hush payment.

“Mr. Trump stood on AF1 and blatantly lied,” Mr. Avenatti wrote. “This followed the lies told by others close to him, including Mr. Cohen. This should never be acceptable in our America. We will not rest until justice is served.”

In an interview, Mr. Avenatti said a key issue going forward would be how Mr. Trump accounted for any such payment and whether it was hidden in a way that could violate anti-money laundering statutes.

Mr. Giuliani’s statement to Mr. Hannity was the latest of several contradictory narratives from Mr. Trump’s representatives about the deal to pay Ms. Clifford for her silence during the campaign, each of which have had potential implications for violating campaign finance disclosure laws.

Mr. Cohen had previously provided a detailed account of how he had paid Ms. Clifford $130,000 out of his own pocket, drawing down on a home loan to do so. That opened Mr. Cohen and the Trump campaign to charges that he violated the law by exceeding the amount that an individual can donate to a presidential campaign.


Photo






Mr. Trump’s personal lawyer, Michael D. Cohen, leaving the federal courthouse last month in New York City. He has been saying for months that he used his own money to pay Ms. Clifford to keep quiet.

Credit
Jeenah Moon for The New York Times



If Mr. Trump reimbursed Mr. Cohen for the payment, that could help Mr. Cohen and the campaign avoid prosecution for violating campaign contribution limits because a candidate is allowed to contribute an unlimited amount to his own campaign.

According to a person close to the president, Mr. Trump reimbursed Mr. Cohen for the payment, a determination made in recent weeks by the president’s lawyers after examining banking records. The lawyers determined that campaign funds had not been used for the payment, the person said.


The lawyers also concluded that the funds did not come from a third party or the Trump Organization, the person said. While the disclosure may be embarrassing for the president, his lawyers believe the payment did not violate campaign finance laws, the person said.

Another person familiar with the payment to Mr. Cohen from Mr. Trump said the money was reimbursed in a series of payments, not in a lump sum.

But such a payment from the candidate — even if it was made through a lawyer — would have to be disclosed to the Federal Election Commission as an in-kind contribution to the campaign and as an expenditure by the campaign, if it was for the purpose of influencing the election.


Photo






Mr. Giuliani boarding Air Force One in March at the airport in Charlotte, N.C. “They funneled through a law firm, and the president repaid it,” Mr. Giuliani said of the payment.

Credit
Andrew Harnik/Associated Press



Mr. Trump’s campaign did not disclose the reimbursement to Mr. Cohen on its commission reports.

The crucial question in determining whether the reimbursement to Mr. Cohen violated campaign finance laws might be whether the payment was specifically intended to help Mr. Trump’s campaign.

Paul S. Ryan, an official at the government watchdog group Common Cause, argued that “all the facts indicate that the payment was to influence the election.”

Mr. Ryan asserted that Mr. Giuliani’s admission could allow prosecutors to make the case that Mr. Trump “knowingly caused his campaign committee to file an incomplete disclosure report with the F.E.C.”

“Until tonight, it would have been tough to prove that because Donald Trump had denied knowing about the payment,” Mr. Ryan said. “But his reimbursement amounts to knowledge.”

While most violations of the Federal Election Campaign Act’s disclosure provisions are misdemeanors, a knowing and willful violation could be a felony.


But Mr. Giuliani’s comments could cloud Mr. Avenatti’s legal argument that his client should be formally released from the hush agreement she signed. When the president told reporters he knew nothing about the deal, he helped Ms. Clifford’s case that the hush agreement was not binding if Mr. Trump did not know about it and did not sign it.


Though far from bringing clarity to the question, Mr. Giuliani obscured it further — now two lawyers for the president are providing two very different versions of events.


Continue reading the main story


[ad_2]

Source link

Everything wrong with Trump’s new tweets on Stormy Daniels – ThinkProgress

Everything wrong with Trump’s new tweets on Stormy Daniels –
ThinkProgress
[ad_1]


After months of relative silence, Donald Trump has taken to using Twitter to address the allegations of Stormy Daniels, the adult film actress who said she had a sexual relationship with Trump in 2006. The first occasion, an April 18th tweet in which Trump did not mention Daniels by name but nevertheless complained about “A total con job, playing the Fake News Media for Fools,” earned the president a defamation lawsuit.


But this morning, in a series of three tweets, he has made things much worse.




Trump starts this tweet by admitting that he was fully aware of the $130,000 payment made to Daniels. He had to be aware because he “reimbursed” Michael Cohen, Trump’s personal attorney and self-styled “fixer,” who arranged the payment to Daniels. Just a month ago, Trump told reporters on Air Force One that he did not know about this payment.




During a March 7th press briefing, White House Press Secretary Sarah Huckabee Sanders told reporters that she had spoken personally with Trump and that he had denied any knowledge of the payments.


Q    Sure.  Sure.  To both Jeff, as well as, Monday, to the Wall Street Journal reporter, you were asked about whether the President knew about this payment his longtime lawyer made to — facilitated, rather — to Stormy Daniels.  You said then, and again today, not that you’re aware of.  Have you asked the President this question?


MS. SANDERS:  Yeah, I’ve had conversations with the President about this.  And, as I outlined earlier, that this case has already been won in arbitration and that there was no knowledge of any payments from the President, and he’s denied all of these allegations.


Cohen, for his part, has twice denied — on the record — that he was ever reimbursed for his $130,000 payment to Daniels, even though Trump is now saying he reimbursed Daniels.




Trump’s tweet also contradicts what former New York City mayor and current member of Trump’s legal team Rudy Giuliani and Cohen have said about the nature of the payment. Here, Trump says the $130,000 was paid “from” a retainer he paid to Cohen. But Cohen said he made the payment by taking out a home equity loan. Giuliani told BuzzFeed that Trump’s retainer to Cohen only started in 2017, months after the payments.


Giuliani said that Trump told Cohen, “We’ll cover your expenses,” and agreed to pay him $35,000 a month “out of his personal funds” over the course of a year-long period that began in the first few months of 2017 and has since ended.


Moreover, this is not a legitimate purpose for a legal retainer. A legal retainer is supposed to pay for legal services, not to reimburse your attorney for making payments with his personal funds. Giuliani described the reimbursement system on Hannity as Trump paying Cohen even though he was “doing no work for the president.”


Things go from bad to worse in the second tweet.




Trump has already been sued by Daniels for defamation in federal court. Up until now, Daniels’ attorney, Michael Avenatti, has had to rely on the aforementioned April 18th tweet to support the defamation claim.




This is something less than a clear denial of the affair. It specifically relates to the sketch that an artist drew of a man Daniels says threatened her in 2011 in a Las Vegas parking lot, warning her not to speak about her affair with Trump. Many legal experts believed the defamation claim, based on this tweet alone, was relatively thin, lacking a clear attack on Daniels.


But now, Trump has solved Avenatti’s problems by mentioning Daniels by name and referring to her claims as “false and extortionist.” If the affair did occur, this tweet provides a much stronger argument that Trump has defamed Daniels.


By the third tweet, Trump was on a roll.




Trump is claiming that Daniels signed a letter denying the affair before a payment was made to her. This is not true. Cohen first issued a short letter from Daniels denying the affair in January 2018.


Even more significantly, Trump appears to have a misunderstanding of campaign law. If the purpose of the agreement was to benefit his campaign, as the timing suggests, it would need to be reported to the FEC. If the money had come from Cohen, it would exceed the legal limits for campaign donations. But even if the money came from Trump, it would need to be reported as a contribution to the campaign, which it was not.


Even if you accept Trump’s argument that a $130,000 payment made days before the campaign had nothing to do with improving his electoral chances, Trump still may have legal liability. The payment now appears to be a loan from Cohen to Trump. This would have been required to be reported by Trump on his presidential financial disclosure. And it was not.












[ad_2]

Source link

Trump Says Payment to Stormy Daniels Did Not Violate Campaign Laws

Trump Says Payment to Stormy Daniels Did Not Violate Campaign Laws
[ad_1]



Photo






President Trump backed up a surprising announcement by his lawyer Rudolph W. Giuliani, who said Mr. Trump repaid a $130,000 payment that Michael D. Cohen made to the actress Stephanie Clifford.

Credit
Doug Mills/The New York Times




WASHINGTON — President Trump said on Thursday that he paid a monthly retainer to his former lawyer and fixer, suggesting that a payment to a pornographic film actress was not a campaign contribution — comments that appear to contradict his earlier statements that he knew of no such payment to the actress who says she had an affair with Mr. Trump.

The president continues to deny the affair.

In a pair of Twitter posts Thursday morning, Mr. Trump backed up a surprising announcement that came late on Wednesday by the president’s lawyer, Rudolph W. Giuliani, who said Mr. Trump repaid a $130,000 payment that his former lawyer, Michael D. Cohen, made to the actress Stephanie Clifford just days before the presidential election in 2016. Mr. Giuliani said this removed the question of whether it was a campaign finance violation.



The president’s new statements about the payment and a nondisclosure agreement with Ms. Clifford, who performs under the name Stormy Daniels, potentially signal a shift in strategy for the legal fight with the actress.

Ms. Clifford is suing Mr. Cohen to try to be released from the nondisclosure agreement. Mr. Cohen is under federal investigation for bank fraud, raising concerns in the president’s inner circle that Mr. Cohen will cooperate with the government.

The president’s tweets on Thursday were far more formal that his usual morning messages to the world, which often include words in all capital letters and are punctuated with exclamation points.

Continue reading the main story


[ad_2]

Source link

Wednesday, 2 May 2018

Giuliani just created a new Stormy Daniels problem for Trump – ThinkProgress

[ad_1]


In his first public comment about the Stormy Daniels hush payment, President Trump pretended he knew nothing about it.


Pressed on why his personal attorney, Michael Cohen, would, just before the 2016 election, make a $130,000 hush payment to Daniels — a woman who claims to have had an affair with Trump — Trump told reporters aboard Air Force One, “You’ll have to ask Michael Cohen. Michael is my attorney. You’ll have to ask Michael.”



On March 7, White House Press Secretary Sarah Sanders specifically denied Trump had any knowledge about the payments.


Yeah, I’ve had conversations with the President about this…There was no knowledge of any payments from the president and he’s denied all of these allegations.


During his first interview as a member of Trump’s legal team, Rudy Giuliani told a very different story about the payment.



Giuliani said that Trump personally reimbursed Cohen for the “perfectly legal” payment, but downplayed how unusual that would be.


“That money was not campaign money,” Giuliani said. “No campaign finance violation… Funneled it through a law firm, and then the president repaid it.”


Giuliani’s revelation surprised Hannity.


“Everybody was nervous about this from the very beginning, I wasn’t,” Giuliani said. “I knew how much money Donald Trump put into that campaign. I said, ‘$130,000? You can do a couple of checks for $130,000.'”



Hannity then asked Giuliani if Trump knew about the circumstances surrounding the payment.


“He did know about the general arrangement,” Giuliani said. “Michael would take care of things like this, like I take care of things like this for my clients. I don’t burden them with every single thing that comes along. These are busy people.”



Later, Giuliani characterized Cohen’s payment to Daniels as “a very regular thing for lawyers to do.”


“That was money that was paid by his lawyer, the president reimbursed that over the period of several months,” he said, adding that he had no reason to disbelieve the story Cohen has told about how he used his own funds for the payment.



Cohen has said he made the payment independently, without Trump’s knowledge and without looping in the Trump Organization — a move that would be unusual and unethical, as lawyers don’t generally make payments on behalf of clients without their knowledge.


Giuliani’s disclosure also positions the Cohen payment as a loan, potentially creating legal liability for Trump, who would be required to have reported such a loan on his presidential financial disclosures.




It’s unclear why Giuliani, who is representing Trump in his dealings with special counsel Robert Mueller, spoke out about the Daniels matter in the first place. Trump has separate lawyers representing him in the Daniels litigation.


At no point during the interview did Hannity note that he has a conflict of interest when discussing Cohen, as Cohen has done legal work for him in the past.


UPDATE (11:22PM): The White House responds:


https://twitter.com/Sarah_Boxer/status/991876961944272900












[ad_2]

Source link